News from the Group

Sandvik has entered into an agreement covering the acquisition of the American company Precision Twist Drill Co. which is one of the world's leading manufacturers of twist drills.

Sandvik has today, for a total consideration of SEK 895 M, purchased all of Trustor's 3,227,600 shares and 1,190,394 warrants in Kanthal AB, representing 517,500 A shares and 2,710,100 B shares, and 703,655 warrants that each entitle the holder to subscribe for one A share in Kanthal and 486,739 warrants that each entitle the holder to subscribe for one B share in Kanthal.

On 9 June 1997, Sandvik AB acquired an additional 1,830,400 B shares in Kanthal AB from a number of institutional owners.

Sandvik, which has held a 55% interest in UK steel distributor RGB since 1994, has acquired the balance of the shares outstanding and is now the sole owner of the company.

During the period 10 April through 20 May 1996, Sandvik Invest AB, a wholly owned subsidiary of Sandvik AB, has acquired an additional 115,785 B shares in Kanthal AB.

Sandvik has held a 25% interest in Tamrock Oy of Finland since 1991.